Buying a home intimidates a lot of people, but it's not too difficult with some planning ahead of time. I like to supply buyers with an outline of the whole deal so they understand exactly what to expect. Here are my nine steps to purchasing a home.
Step 1 – Prepare to buy
Prior to starting your home search, there are a lot of things you'll want to take into account. When you begin your search, you'll probably want to put together an index of must-have features, plan for what school districts you'd like to live in, and begin planning your budget. Keeping your mortgage payment less than or around a third of your net monthly income is a good principle to follow.
Step 2 – Contact a real estate Agent
This is where I can help. We can set up a time to meet so we can talk about your real estate needs and get an idea of your plans for the future. We'll talk about neighborhoods, schools in the Jersey City area, the mortgage industry, and any additional economic factors that could potentially affect your purchase today or in the future.
I can also assist you in getting started on your loan. There are some great mortgage professionals, and I work with a lot of them, so you'll be in great hands. They can assist you in deciding which type of loan is best for you and help you get qualified.
Step 3 – Begin house hunting
Following our first meeting, I'll start looking for houses on the market that are good for you. I'll research most of the homes and remove the duds, and then we'll schedule appointments to tour the houses whenever it's most convenient for you.
When we view houses, I'll identify good features, as well as negative ones. I'll even ask you about things you like and dislike. It's widely common for buyers to revise their list of must-haves as we tour homes and some items become far more substantial than others. If such is the case, I'll look through the listings once again and trim it down to the house of your dreams.
Step 4 – Get a feel for the housing market
My knowledge of the Jersey City housing market is a valuable asset in your house search. I am informed of all the neighborhoods, and I can communicate which homes are "hot" and require immediate action and the ones that are "cold" and allow for cautiousness.
My market expertise will keep you a step ahead through the entire deal.
Step 5 – Find the home of your dreams
I'm positive we'll find the home of your dreams in the Jersey City area. When we do, I'll carefully develop your purchase offer. The offer will be tailored to suit your needs, including some contingencies. A few examples are acquiring financing, completing the home inspection, and a clear title.
When turning in your offer, you'll likely need to present "earnest money." This is a deposit made to secure an offer to purchase the property. The amount is applied to the cost of closing. If your offer is accepted, we should close on the home about 45 to 60 days afterward. This allows plenty of time for your mortgage financing.
Step 6 – Negotiate the deal
Market conditions determine how aggressively we negotiate the contract. We'll also work within your budget. And at the end of the day, we'll put together a contract that is right for you.
Step 7 – Get financing
Upon completing the deal, you'll start working with your mortgage lender to close the loan. It shouldn't take long at all if you've been pre-qualified, but you'll want to stay in close contact with your lender. And I'll care for all the property information your mortgage lender will need to close the loan.
Step 8 – Close the deal
You'll get a Good Faith Estimate (GFE) of your closing costs from your mortgage lender within three days of taking your application. This estimate depends on the loan amount, and RESPA requirements dictate that it has to involve all closing costs and fall within a precise range of accuracy. I'll review the estimate and let you know if everything looks okay.
Then we'll close on your home. This will likely take place at your attorney's office or a title company.
Step 9 – Move in
You made it! It's time to move into your new home. Enjoy it. And if you have any questions, simply contact me at 201-369-0099 or send me an e-mail.
